Daily reach for online video and traditional TV now on par
24 April 2019
24 April 2019
The soon to be released Q1 analysis of the Video Market in Sweden, reveal that online and traditional viewing now is on par in terms of daily reach. This is an important milestone, but of even greater importance is the overall effect that online viewing has had on the market.
In Q1 2019, the migration of consumers from traditional TV to online reached a new milestone in Sweden, with online and broadcast daily reach both at 62%. Online viewing has grown rapidly in recent years while broadcast is plumbing. What happens beyond this point, may be even more exciting. Online growth is slowing down, indicating a maturing market. Consequently, actors are faced with new challenges – such as an increased focus on customer retention and viewing time.
Online video & traditional TV daily reach, Q1 2018 & Q1 2019, Sweden (15-74 y/o)
At the same time, there are movements in the market that indicate further online growth. With several new “giants” entering the streaming market this year, it wouldn’t be surprising if online reach were to get a new push. For instance, a lot has been said about Disney’s streaming service Disney+ and its focus on attracting new customers through exclusive content. And with an increasing number of households subscribing to SVOD services (so called “buy through” B-SVOD) via operators, this could also boost daily online reach to the next level.
While on the subject of Disney, the company recently revealed that its new SVOD service will be priced at $6.99 per month, which is significantly lower than market leading Netflix. The service is set to launch on November 12th in the US. Furthermore, Disney appears to be taking a “quality over quantity” approach. At launch, Disney+ will offer roughly 7500 episodes and 500 movies in its library, which corresponds to approximately 16% of Netflix’ current US catalog.
Mediavision will soon publish the full Q1 analysis on the Swedish market (which you can read more about here). If you are looking for a more macro perspective on the market, keep an eye out for our annual Swedish TV Market analysis, which is very soon to be released.
Who will win the Nordic streaming war?
Competition on the Nordic streaming market is ramping up with several new services about to launch. Content investments are escalating and only partly offset by price increases. In the US, Netflix recently announced +13-18% on subscription fees.
Mediavision press releases:
Household media spend on the rise
Swedish households continuously spend more money on media services. During 2018 an average Swedish household spent 450 SEK per month on media subscriptions. The appetite for video services remain high, video spend has increased by […].
Disney+ aims for quality over quantity
Disney has revealed details on its upcoming streaming service Disney+ which launches in the US in November. In its first year of launch Disney+ will include 7500 episodes and 500 movies, which represents roughly 16% of Netflix’s US catalog.
Amazon and Google settle Youtube and Fire TV dispute
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Netflix to raise $2 billion through bonds
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Tencent Video partners with Vice
Tencent has inked a partnership deal with Vice to create an eight-part series exploring youth culture, trends and tribes. The series is to be produced by Vice Studio and is expected to launch in late 2019. Tencent Video boasts more than 82 million paying subscribers.
Danish copyright law not compatible with EU
The current Danish copyright law fails to comply with EU regulations on several points according to research conducted by Danish newspaper Politiken. The Danish minister of culture Mette Bock (LA) is now preparing a review of the law she writes in an email.
Zeta Global acquires DSP from Sizmek
On Friday marketing company Zeta Global announced an agreement to acquire the technology and assets from ad tech company Sizmek in a $36 million deal. Sizmek, which filed for bankruptcy on March 29, is a demand side and management platform.
Bonnier criticises lack of incentives for Swedish filming, Netflix continues original productions
Separately, consultancy Mediavision said that Netflix premiered […].
- Cannes Film Festival & Markets: May, 8-19, Cannes, France
*Events where Mediavision will be presenting